Contractor disappeared, won't answer calls

[Diana B.]

I am starting to rehab properties in Michigan state but live in another state, so I work from a distance. I have already rehabbed one property and it is rented out, but I tried another contractor for this second house. Everything was going well, but during the asbestos clean up, the contractor ended up in the hospital twice. Now he has his phone turned off (I try calling daily) and the voicemail is full. I am worried that he died or is seriously ill from asbestos exposure. I have a contact for a colleague of his, who has attempted to contact his daughter, but the colleague hasn't been able to contact the contractor either.

Any advice? Should I just cut my losses (I have made payments to him for the work he has already done) and move on to a different contractor?

Any advice going forward to avoid this situation? Do you create contracts with your contractor to cover these sorts of situations?